May 14, 2021
SSL Venture Capital Jamaica Limited (SSLVC), for the nine months ended March 31, 2021, reported revenues of $19.33 million versus $112.02 million reported in the prior year’s corresponding period. While for the quarter, SSLVC reported $13,122 (2020: $16.72 million) in revenue. SSLVC noted, “the 2020 revenue figures included $53.1M relating to Blue Dot Data Intelligence, a portfolio company for which our stake was sold in March 2020. With the closure of Bar Central Limited, the last remaining active portfolio company at the end of December 2020.”
Cost of sales amounted to $19.14 million (2020: $100.91 million), thus resulting in gross profit of $196,410 relative to $11.12 million booked last year. Gross loss for the quarter amounted to $2,878 million versus $1.10 million booked for the third quarter ended March 31, 2020.
Other income closed at $130,351 (2020: $34.49 million) for the nine months period ended March 31, 2021. In addition, administrative expenses totalled $43.97 million in the nine months ended March 31, 2021 compared to $105.92 million documented in the previous year.
Consequently, SSLVC recorded operating loss of $43.64 million versus a loss of $60.32 million reported in 2020. Operating loss for the third quarter closed at $8.02 million relative to an operating income of $9.02 million reported for the same quarter of 2020.
Finance cost for the period declined 44% to close at $6.38 million compared to $11.47 million reported in 2020.
SSLVC loss before taxation amounted to $50.02 million, relative to a loss of $71.78 million booked twelve months earlier. While, during the quarter loss before taxation amounted to $10.28 million, relative to a profit of $4.57 million in the same period last year.
For the nine months ended March 31, 2021, there was a taxation credit of $6.10 million (2020: $23.93 million). The Company reported a net loss from continuing operations of $43.92 million versus a loss of $47.86 million reported in 2020. Net loss from continuing operations for the quarter amounted to $8.99 million versus a net profit from continuing operations of $3.05 million booked in 2020. It was noted, “these losses were primarily driven by the devastating impact of the COVID-19 pandemic on sectors in which the portfolio companies operated.”
There was no loss on discontinued operations, net of tax for the nine months ended March 31, 2021 (2020: $8.39 million). As such net loss totalled $43.92 million (2020: $56.24 million) for the nine months ended March 31, 2021. For the quarter, net loss summed to $8.99 million (2020: $5.34 million).
However, net loss attributable to shareholders amounted to $39.07 million compared to a net loss attributable to shareholders of $49.27 million in 2020. For the quarter, net loss attributable to shareholders was $8.44 million (2020: $4.22 million).
Loss per share (LPS) for the period amounted to $0.098 versus a loss per share (LPS) of $0.123 the prior year, while LPS for the quarter amounted to $0.021 (2020: LPS $0.011). The trailing twelve months loss per share amounted to $0.32. The number of shares used in our calculations is 400,000,000. SSLVC stock price closed the trading period at a price of $0.63 on May 13, 2021.
Balance Sheets Highlights:
As at March 31, 2021, total assets amounted to $118.64 million down 29% from the $167.39 million booked in 2020. This decrease was mainly due to decreases in ‘Goodwill’ and ‘Receivables’ which was nil (2020: $53.81 million) and $48.51 million ($60.10 million), respectively.
Shareholders’ deficit closed at $246.44 million relative to shareholders’ deficit $117.69 million recorded in the prior year’s corresponding period. This resulted in a shareholders’ deficit per share of $0.62 (2020: $0.29).
Disclaimer:
Analyst Certification -The views expressed in this research report accurately reflect the personal views of Mayberry Investments Limited Research Department about those issuer (s) or securities as at the date of this report. Each research analyst (s) also certify that no part of their compensation was, is, or will be, directly or indirectly, related to the specific recommendation(s) or view (s) expressed by that research analyst in this research report.
Company Disclosure -The information contained herein has been obtained from sources believed to be reliable, however its accuracy and completeness cannot be guaranteed. You are hereby notified that any disclosure, copying, distribution or taking any action in reliance on the contents of this information is strictly prohibited and may be unlawful. Mayberry may effect transactions or have positions in securities mentioned herein. In addition, employees of Mayberry may have positions and effect transactions in the securities mentioned herein.